National Republican., 1887-09-30

gorglng OF money in the treasury, nor was
there continuous contraction.
The Republicans administered the law In |
the interest Of the whole people, not In |
that of a few favored individuals. The
laws were not looked upon as being as In
flexible as those Of the Medes and Per. |
slams, but the spirit, as well as the letter,
was considered in their application to the |
business of the country.
One Of the best evidences OF what the ad
ministration has done In the way OF con-
traction is to turn to page IL OF the first
volume Of the report of the Secretary Of
the Treasury for 1885. There the statement
is made Cash in treasury, 1919, ,l66,353,
and then to look at the monthly statement
of the public debt for the 1st of Septem-
ber, 1887. There we find "Total cash by
treasurer's statement, S593, 06G, $40" This
shows that in thirty months the enormous
sum Of $4,000, ,40G has been crowded into
the treasury vaults By this policy OF con-
traction.
But there is another even as strong as
this. The law, passed by a Democratic House
and Republican Senate and approved by
a Republican President, made obligatory
the expenditure OF So ,000, 900 for silver bull
ion to be converted into coin, and It au-
thorized the expenditure Of $4,000,000 for
that purpose. Only s2,OOO,OO each month
was expended under Republican rule, be-
cause there was sufficient currency for the
needs of the people. When this admins
tration was inaugurated there was over
S3l5,000, 900 national bank notes In circula.
tion. But the bankers, justly distrusting
the ability OF the Democrats to administer
the finances of the government, have with
drawn in the thirty moaths Of this admin
istration over 800 900 900 OF that sum.
A Republican President and Republican
| Secretary Of the Treasury would, under
| these circumstances, seeing this contrac-
tion, have purchased silver to the full limit
| OF the law, thus replacing with S75 100000
| of silver certificates that much Of the bank
notes withdrawn. But this administration
refuses to do it. It's policy is contraction.
To show conclusively that even before he
was inaugurated President Cleveland en-
| deavored to influence legislation in favor
OF contraction, we reproduce his letter
| OF Feb. "a, 1885. 1t reads as follows:
| THE Hon. A. J. WARSER AND OTHERS, Mem.
| bers of the Forty-Eighth Congress GENTLE
| MEN: The letter which have had the honor
| to receive from you invites, and, indeed, OBJ
| liges me to give expression to some grave pub
lie necessities, although in advance of the
moment when they would become the objects
of my official care and partial responsibility.
Your solicitude If my judgment shall have
| been carefully and deliberately formed is en-
| tirely just, and accept the suggestion in the
same friendly spirit in which 1t has been made.
1t is also fully justified by the nature of the
| financial crisis which, under the operation of
the act of Congress of Feb. 2S, 1878, is now
close at hand By compliance with the re.
quirements OF that law all the vaults of the
federal treasury have been and are heaped
full Of silver coins, which are now worth less
than S5 per cent. of the gold dollar prescribed
as the unit of value in section IA of the act oi
Feb. ~, 1878, and which, with the silver certii
Gates representing such coin, are receivable fol
all public dues Being thus receivable, while
also constantly increasing in quantity at the
rate of SOS 100000 q year, it has followed o
necessity, that the flow of gold into the treas
| ury has been steadily diminished, Silver and
silver certificates have displaced, and are now
displacng, gold, and the sum OF gold In the
federal treasury now available for the pay
ment of the gold obligation Of the United
States, and for the redemption of United State!
notes called greenbacks, If not already en-
croaohed upon, is perlously near such en-
Croachment. These are facts which, as the,
do not admit Of difference of opinion, call 70
no argument. They have been forwarned L
us in the official reports of every Secretary o
A the Treasury from 1875 till now. They are
, | plainly affirmed in the last December re
port of the present Secretary of thu
Treasury to the speaker of the preseu
: House of Representatives. They appear
in the official documents of this Con
| grcgs and in the records OF the New York clear
ing house, of which the treasury is n member
and through which the bulk of the receipt
and payment of the federal government an,
Of the country pass. These being the facts O
our present condition, our danger and ou
, duty to avert that danger would seem to b
| plain. hope that you concur with me an
with the great majority of our fellow citizen
{ in deeming 1t most desirable at the presen
4 junclure to maintain and continue iu use tn
mass of our gold coin, as well as the mass
silver already coined. This Is possible by
present suspension Gf The purchase and coin
age Cf stirr. l am not aware that by an
other method 1t ispOssible. 1t is Of momentor
/. importance TO prevent the two metals froi
;, parting company, to prevent the increasin
v displacement of gold by the increasing coir
| iBt Ol fllNcT' tO prevent tue ulhuse OF BOlu
s the custom houses of the United States in Ii
daily business of the people; to prevent th
}. ultimate expulsion OF gold by silver. Such
n financial crisis as these events would certainl
!. pIeoipitate, were 1t now to follow upon
long period of commercial depre
- sion, would involve the people of every eli
ana every state in the Union in a prolongc
le ard disastrous trouble. The revival of bus
u ness enterprise and prosperity, so ardently d
re sired and apparently so near, would be hop
,e lessly postponed Gold would be Withdraw
l. to its boarding places, and an unprecedentt
contraction In the actual volume of our Gu
:. rcy would speedily take place. saddest
~ ALL in every Workshop mill. factory, stor
= and on every railroad and farm. the wages
le labor, already depressed, would suffer st
l. further depression by scaling down of Il
o purchasing power of every socalled doll
IS paid into the hand of toll. From these II
pending calamities it is surely most patriot
and grateful duty of the representatives of II
' people to deliver them.
y am, gentlemen, with sincere respect, 20
J. fellow citizen, GROVER CLEVELAND,
g ALBANY, Feb. "a, 1885.
u 1t is understood that this letter was wri
y y ten after full consultation with the la
" Samuel j. Tilden. 1t is known that NJ
~ y, Tllden believed that gold would be great
" enhanced in value by the coinage OF silly,
: If the existing law was not repealed.
y. therefore sent 100000 In gold to Il
u Onion Bank of London, there to ava
events. The executors of his estate had I
take out letters of administration In Lol
's don, and at cost of $3i 900 recov
u this money. Mr.. Tilden's Judgment as
g the effect OF silver coinage did not pro-
u good, and his advice to President.elet
. Cleveland was unsound
Upon the subject of gold and silver E,
. wards Pierrepont writes:
n II ismere twaddle to talk Of gold ns ,the 81